Object and Powers

4. Subsections 4(2) and (3) of the Act are replaced by the following:

Status

(2) The Corporation is not an agent of Her Majesty and is not a Crown corporation within the meaning of the Financial Administration Act.

Legal proceedings

(3) Actions taken by or against the Corporation in respect of rights and obligations acquired or incurred by the Corporation on behalf of Her Majesty before the date referred to in section 3.08, for all purposes, are deemed to have been taken by or against Her Majesty, as the case may be.

5. The heading before section 5 of the Act is repealed.

6. (1) Section 6 of the Act is renumbered as subsection 6(1).

R.S., c. 38 (4th Supp.), s. 2

(2) Paragraphs 6(1)(c) and (c.1) of the Act are replaced by the following:

    (c) subject to the approval of the Minister of Finance, to enter into commercial banking arrangements;

    (c.01) subject to section 19, to borrow money by any means, including the issuing, reissuing, selling and pledging of bonds, debentures, notes and other evidences of indebtedness of the Corporation;

    (c.1) subject to the approval of the Minister of Finance, to invest moneys of the Corporation in bonds, debentures, notes or other evidences of indebtedness of or guaranteed by

      (i) the Government of Canada or of any province of Canada,

      (ii) the government of a foreign country or of any province or state of that country, or

      (iii) a financial institution whether in or outside Canada;

    (c.2) in the course of its operations, to enter into and deal with any contracts and transactions that the Corporation considers necessary for risk management purposes, including options, futures contracts, forward contracts and currency, commodity and interest rate swaps;

    (c.3) to establish a contingency fund consisting of the amounts specified by the regulations, that may be used

      (i) to guarantee adjustments to initial payments provided for in subparagraph 32(1)(b)(ii), or

      (ii) to provide for potential losses from operations under section 33.01 or 39.1;

    (c.4) to issue negotiable certificates in accordance with this Act;

(3) Section 6 of the Act is amended by adding the following after subsection (1):

Regulations

(2) The Governor in Council may make regulations authorizing the Corporation to deduct an amount from any amount it receives in the course of its operations under this Act and to credit the amount so deducted to the contingency fund established under paragraph (1)(c.3).

Sufficiency of contingency fund

(3) The Minister shall publish in the Canada Gazette a notice of the date on which, in the Minister's opinion, the amount in the contingency fund established under paragraph (1)(c.3) is sufficient to guarantee adjustments to initial payments provided for in subparagraph 32(1)(b)(ii).

Contingency fund balance

(4) For greater certainty, the balance at any particular time of the contingency fund established under paragraph (1)(c.3) need not be positive.

Property of the Corporation

(5) For greater certainty, the property held by the Corporation on behalf of Her Majesty in right of Canada on the date referred to in section 3.08 is the property of the Corporation on that date.

7. Subsections 7(2) and (3) of the Act are replaced by the following:

Profits

(2) Profits realized by the Corporation from its operations in wheat under this Act during any crop year, other than profits from its operations under Part III and profits that are credited to the contingency fund, with respect to the disposition of which no provision is made elsewhere in this Act, shall be paid to the Receiver General for the Consolidated Revenue Fund.

Losses

(3) Losses sustained by the Corporation, other than losses that are charged to the contingency fund,

    (a) as a result of the payment of the sum certain per tonne fixed under subparagraph 32(1)(b)(i) at the beginning of any pool period fixed under Part III, or

    (b) from its operations under Parts I, II, IV and VI of this Act during any crop year,

for which no provision is made in any other Part shall be paid out of moneys provided by Parliament.

R.S., c. 38 (4th Supp.), s. 3

8. Subsection 8(1) of the Act is replaced by the following:

Payment of expenses

8. (1) The Corporation may, at the time of realization, use every profit realized by it on the sale of bonds, debentures, notes or other evidences of indebtedness acquired by it under paragraph 6(1)(c.1) in payment of expenses incurred by the Corporation in its operations or may credit the profit to the contingency fund established under paragraph 6(1)(c.3).

R.S., c. 38 (4th Supp.), s. 4

9. The heading before section 12 and sections 12 to 17 of the Act are repealed.

10. Section 18 of the Act is amended by adding the following after subsection (1):

Directors

(1.1) The directors shall cause the directions to be implemented and, in so far as they act in accordance with section 3.12, they are not accountable for any consequences arising from the implementation of the directions.

Best interests

(1.2) Compliance by the Corporation with directions is deemed to be in the best interests of the Corporation.

1991, c. 33, s. 1

11. Section 19 of the Act and the heading before it are replaced by the following:

Plans, Borrowings and Guarantees

Corporate plan

19. (1) The Corporation shall submit annually a corporate plan to the Minister for the approval of the Minister in consultation with the Minister of Finance.

Scope and content of corporate plan

(2) The corporate plan shall encompass all the business and activities of the Corporation and shall contain any information that the Minister considers appropriate.

Borrowing plan

(3) The Corporation shall submit annually to the Minister of Finance for approval a plan indicating the amount of money that the Corporation intends to borrow in the coming crop year for the purposes of carrying out its corporate plan.

Terms and conditions

(4) The Corporation shall not undertake any borrowings described in the borrowing plan approved under subsection (3) unless the Minister of Finance has approved the time, terms and conditions of the borrowings.

Guarantee of borrowings

(5) The repayment with interest, if any, of money borrowed by the Corporation in accordance with the terms and conditions approved under subsection (4) is guaranteed by the Minister of Finance on behalf of Her Majesty.

Loans and guarantee of credit sales

(6) The Minister of Finance, on behalf of Her Majesty, may, on any terms and conditions that the Governor in Council may approve,

    (a) make loans or advances to the Corporation; or

    (b) guarantee payment with interest of amounts owing to the Corporation in respect of the sale of grain on credit.

12. (1) Subsection 24(2) of the French version of the Act is replaced by the following:

Consignation et inscription du poids net

(2) Dès la livraison terminée, le directeur ou l'exploitant inscrit fidèlement et correctement dans le carnet de livraison qui permet la livraison le poids net en tonnes, après extraction des impuretés, du grain livré, et il paraphe l'inscription.

(2) Section 24 of the Act is amended by adding the following after subsection (2):

Exemption

(3) The Corporation may, by order, exempt deliveries of grain to an elevator from the requirements of any of paragraphs (1)(a), (c) and (e), but only to the extent that the elevator is owned or leased by a producer.

13. The Act is amended by adding the following after section 25:

Certain provisions not to apply

25.1 Paragraphs 24(1)(c), (d) and (e) and 25(1)(c), (d) and (e) do not apply to deliveries made under a contract under section 39.1.

14. Section 26 of the Act is amended by adding the following after subsection (4):

Requirement

(5) Any producer who delivers grain under a permit book shall produce the permit book on demand to any representative of the Corporation.

15. Section 28 of the Act is amended by adding the following after paragraph (h):

    (h.1) exempt any elevator from the provisions of this Part, in whole or in part, either generally or for a specified period or otherwise;

16. Subsection 29(1) of the Act is replaced by the following:

Inquiries

29. (1) The Governor in Council may empower the Corporation to make inquiries and investigations to ascertain the availability of delivery and transportation facilities, supplies of grain and all matters connected with the interprovincial or export marketing of grain, and for that purpose empower the Corporation and the directors to exercise the powers of commissioners under Part I of the Inquiries Act.

17. Section 31 of the Act is replaced by the following:

Definition of pool period

31. Subject to section 40, in this Part, ``pool period'' means any period or periods, not exceeding one year in the aggregate, that the Corporation may order as a pool period in respect of wheat.

1995, c. 31, s. 2(1)

18. (1) Paragraphs 32(1)(a) and (b) of the Act are replaced by the following:

    (a) buy all wheat produced in the designated area and offered by a producer for sale and delivery to the Corporation at an elevator, in a railway car or at any other place in accordance with this Act and the regulations and orders of the Corporation;

    (b) pay to producers selling and delivering wheat produced in the designated area to the Corporation, at the time of delivery or at any time afterwards that may be agreed on, a sum certain per tonne basis in storage at a pooling point to be fixed

      (i) initially, at the beginning of the pool period

        (A) by regulation of the Governor in Council in respect of wheat of a base grade to be prescribed in the regulations, or

        (B) by order of the Corporation, with the approval of the Governor in Council, in respect of each other grade of wheat, and

      (ii) from time to time afterwards, by order of the Corporation;

(2) Paragraphs 32(1)(c) and (d) of the Act are replaced by the following:

    (c) if, under paragraph (b), the sum certain payable to producers in respect of wheat of any grade is increased during a pool period, pay to the holder of a certificate that is referred to in paragraph (d) the amount of the increase in respect of each tonne of wheat of that grade produced in the designated area and sold and delivered to the Corporation during the pool period before the day on which the increase becomes effective; and

    (d) issue to a producer, who sells and delivers wheat produced in the designated area to the Corporation, a certificate indicating the number of tonnes purchased and delivered and the grade of the wheat, which certificate entitles the holder to share in the equitable distribution of the surplus, if any, arising from the operations of the Corporation with regard to the wheat produced in the designated area sold and delivered to the Corporation during the same pool period.

(3) Subsection 32(3) of the Act is replaced by the following:

Storage and other delivery- related payments

(3) The Corporation may, by order, set for any pool period, and pay to each producer, under the conditions set by the Corporation, a sum per tonne on account of storage of wheat on the producer's farm, interest costs and other delivery-related amounts. Payment shall be made from the account maintained by the Corporation for the pool period during which the wheat was delivered.

1991, c. 33, s. 2

19. (1) The portion of subsection 33(1) of the Act before paragraph (a) is replaced by the following:

Deductions from receipts

33. (1) As soon as the Corporation receives payment in full for all wheat sold and delivered to it during a pool period and all credit sales of the wheat in respect of which payment is guaranteed under section 19 have been concluded, there shall be deducted, from the aggregate of the total amount so received, the principal so guaranteed and any interest that accrues during that pool period in respect of sales of wheat on credit concluded during any pool period, all moneys disbursed by or on behalf of the Corporation

(2) Subparagraph 33(1)(a)(i) of the Act is replaced by the following:

      (i) the remuneration and allowances of the officers, clerks and employees of the Corporation,

      (i.1) the remuneration and expenses of the directors of the Corporation,

      (i.2) the costs of an election of directors of the Corporation in accordance with sections 3.06 to 3.08,

(3) Paragraph 33(1)(a) of the Act is amended by adding the word ``and'' at the end of subparagraph (ii) and by repealing subparagraph (iii).

R.S., c. 38 (4th Supp.), s. 8; 1994, c. 39, s. 1; 1995, c. 31, s. 3

(4) Subsections 33(1.1) to (5) of the Act are replaced by the following:

Additional payment

(1.1) In addition to any payment authorized by section 32, the Corporation may fix and pay in respect of any pool period a sum per tonne to each producer who has sold and delivered wheat to the Corporation in a railway car during the pool period.

Distribution of balance

(2) Subject to sections 33.1 to 33.5, the Corporation shall, after the end of any pool period, distribute the balance remaining in its account in respect of wheat purchased by it during the pool period, after making the deductions from the account provided for in subsection (1) and the payments provided for in subsection (1.1), among holders of certificates issued by the Corporation under this Part during the pool period, by paying on surrender to it of each certificate, unless the Corporation, by order, waives the surrender, to the holder of the certificate, the appropriate sum determined by the Corporation as provided in this Act for each tonne of wheat referred to in the certificate according to grade.

Interim payments

(3) Notwithstanding subsection (1), the Corporation may make interim payments on account of the distribution of the balance referred to in subsection (2) if the Corporation is of the opinion that interim payments can be made without loss.

Expenses in relation to international wheat marketing organizations

(4) Expenses incurred by the Corporation with respect to any international organization for the purposes of marketing wheat and the expenses of any director or officer of the Corporation of and incidental to attendance at meetings of that international organization or any of its committees are deemed to be expenses incurred in connection with the operations of the Corporation within the meaning of this section, but nothing in this subsection is to be construed as authorizing the payment by the Corporation of any contributions required to be paid by Canada to or in support of that international organization or any of its committees.

Determi-
nation of amounts

(5) The Corporation shall determine and fix the amounts to which holders of certificates are entitled per tonne according to grade under certificates issued under this Part so that each holder of a certificate receives, in respect of wheat sold and delivered to the Corporation during each pool period for the same grade of wheat, the same price basis at a pooling point and so that each price bears a proper price relationship to the price for each other grade.

20. The Act is amended by adding the following after section 33:

Early payment

33.01 (1) The Corporation may, in accordance with this section, pay to holders of certificates issued by the Corporation under this Part who apply for such a payment, an amount instead of the amount that would be distributed under paragraph 32(1)(c) or section 33.